Current status of agricultural B2B e-commerce development

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Introduction:

Internet + Agriculture B2B is an important operation model for Internet + to break through and practice in the agricultural field. It has the characteristics of large scale, many opportunities, and clear business segmentation in the upstream, midstream and downstream of the supply chain. It has become the focus of future development and a bonus point that companies inside and outside the industry are vying for. This report mainly discusses agricultural B2B e-commerce.

A series of guiding opinions on "Internet + Agriculture" issued by the State Council and the Ministry of Agriculture, as well as the active cooperation of local governments, have provided strong support for the Internet to help the transformation and upgrading of agriculture. Agricultural modernization and agricultural B2B e-commerce have finally ushered in spring.

China's agricultural economic growth is in a steady growth stage. The agricultural market has a huge potential of about 10 trillion yuan, equivalent to 1/6 of the GDP in 2014. It is in urgent need of Internet+ to explore. In addition, between 2012 and 2015, the growth rate of rural residents' net income has always remained above 10%. It is estimated that in 2015, the per capita net income of rural residents will exceed 10,000 yuan, which will further stimulate the development of the agricultural economy and bring greater possibilities for the development of agricultural e-commerce.

In 2015, the confidence index of B2B industry practitioners was 99.2, a significant increase of 35.9% over the previous year. The increase in the B2B index has significantly stimulated the development of the B2B industry, and the B2B model has attracted more and more attention and favor from traditional enterprises and start-ups. The number of new farmers in China has exceeded one million, and this huge new group and the growing trend may become the mainstream force to promote the modernization of rural areas.

The Internet era is the third era of revolutionary significance after the Industrial Age and the Electric Age. In the preparation of agricultural materials, production, circulation and consumption of agricultural products, each node has in-depth application of new Internet technologies, which has greatly stimulated the great strides of traditional agriculture towards modern agriculture.

Agricultural B2B e-commerce is in its infancy, but its explosive power and money-making ability are far beyond the reach of other industries. Currently, traditional agricultural enterprises or Internet giants are also making arrangements in the agricultural B2B e-commerce field. Some new agricultural B2B e-commerce start-ups are springing up like mushrooms after rain, and the current agricultural B2B e-commerce field is still a blue ocean.

According to the layout of agricultural B2B e-commerce in the industrial chain, the upstream mainly includes land and agricultural materials, the midstream is mainly agricultural product manufacturing or production, and the downstream mainly refers to the distribution of fresh food ingredients. From the perspective of the industrial chain, agricultural B2B e-commerce is mostly concentrated in the distribution of agricultural products. Since 2014, the downstream food distribution e-commerce companies in the agricultural B2B e-commerce industry chain have experienced explosive growth. At the same time, this is also the field that has received more financing than other links in the agricultural industry chain.

Internet + agricultural B2B e-commerce faces seven major problems: low standardization of agricultural products, asymmetric information between upstream and downstream transactions, imperfect warehousing and supporting facilities between production and sales locations, cold chain logistics and distribution during transportation have not yet met the needs of merchants, and most offline agricultural product exchanges are difficult to transition to online transactions. The existing domestic e-commerce platforms for agricultural products, especially the real agricultural B2B e-commerce 2.0/3.0, are still in their infancy, and there is a large gap in talent engaged in agricultural B2B e-commerce.

In the future, agricultural B2B e-commerce will truly realize an online transaction closed loop as the industrial chain is continuously optimized, solving the pain points of producers, transporters and users. The closed loop of agricultural B2B e-commerce transactions will also give birth to the ecologicalization of the entire agricultural B2B e-commerce industry chain.

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Internet + Agriculture is a cross-border integration of the Internet and agriculture. Its function is to fully apply the Internet's technological innovation, concept innovation, and model innovation to the production, circulation, and consumption of the agricultural industry chain, aiming to promote the transformation and upgrading of agriculture and ultimately lead agriculture to the path of smart agriculture. Internet + Agriculture B2B is an important operation model for Internet + to break through and practice in the agricultural field. It mainly connects several Bs and eventually opens up the entire channel between farmers and consumers for products, information, and funds. At the same time, Internet + Agriculture B2B has the characteristics of large scale, many opportunities, and low risks. It has become the focus of the future development of agricultural e-commerce and a bonus point that companies inside and outside the industry are vying for.

The "Internet + Agriculture (B2B) Industry Report (2015)" (hereinafter referred to as the "Report") is mainly divided into three parts: analysis of the overall environment of Internet + Agriculture (B2B), analysis of the current status of Internet + Agriculture (B2B), and problems encountered by Internet + Agriculture (B2B) and future trends.

Part 1: Analysis of the Big Environment of Internet + Agriculture (B2B)

> Policy

Figure 1.1: Summary of China’s important Internet cross-border agricultural policies in 2015

At the Third Session of the 12th National People's Congress held on March 5, 2015, Premier Li Keqiang first proposed the "Internet Plus" action plan. Since then, "Internet Plus" has become a national strategic policy. The Internet actively crosses over, penetrates and integrates into other industries, helping them to transform and upgrade, and has become a powerful lever to promote the rapid development of the national economy.

Internet + agriculture is developing in full swing in this context. Internet + agriculture B2B e-commerce is the most active and eye-catching operating model in the transformation and upgrading process of traditional agriculture.

The state has clearly proposed to actively develop rural e-commerce as an important aspect of accelerating the cultivation of new economic drivers. The policy believes that the development of rural e-commerce is still in its early stages and needs to be improved in terms of improving logistics facilities, popularizing network information, and improving the e-commerce environment. Only through the collaboration of these elements can the application level of rural e-commerce be improved and diversified rural e-commerce market entities be cultivated.

It is with the penetration of the Internet that traditional agriculture is moving towards agricultural modernization, agricultural e-commerce, and agricultural ecology. The realization of agricultural modernization requires traditional agriculture to use the Internet to transform and evolve into modern agriculture using technologies such as big data, cloud computing, and the Internet of Things. Agricultural e-commerce is a manifestation of agricultural modernization. Only by vigorously developing agricultural e-commerce can the pain points faced in the entire process of agricultural production, circulation, and consumption be solved. Only in this way can agricultural modernization continue to move forward, and ultimately push Chinese agriculture towards sustainable development and toward agricultural ecology.

A series of guiding opinions on "Internet + Agriculture" issued by the State Council and the Ministry of Agriculture, as well as the active cooperation of local governments, have provided strong support for the Internet to help the transformation and upgrading of agriculture. China's agricultural B2B e-commerce has finally ushered in spring.

>Economy

2015 was a critical year for China's major reforms, adjustments and all-round advancement. It was also the year when China's economy entered a "hard-core period" in its "new normal". The GDP growth rate continued to decline to 6.9%, becoming the lowest growth rate since 1990. 2015 was not only a critical year for China's economic transformation, but also the most difficult year in the "new normal".

Domestic grain production increased from 546.48 million tons in 2010 to 621.435 million tons in 2015, with an average annual growth rate of 2.6%. Changes in grain production are a barometer of China's agricultural economic development and, to a certain extent, reflect China's agricultural production level. At the same time, from the perspective of farmers' income and growth rate, agricultural economic growth is in a steady growth stage. It is expected that the per capita net income of rural residents will exceed 10,000 yuan in 2015, and the growth rate has always remained above 10% from 2012 to 2015, showing a trend of sustained growth. The increase in farmers' income will inject strong impetus into farmers' consumption and investment, which will further stimulate the development of the agricultural economy and bring greater possibilities for the development of agricultural e-commerce.

The positive trend of rural economy has provided an economic breeding ground for the Internet usage rate of farmers. In addition, under the policy promotion of the "Guiding Opinions on Accelerating the Construction of High-speed Broadband Networks and Promoting Network Speed ​​Increase and Fee Reduction" issued by the State Council, the rural regional Internet has shown a vibrant and accelerated development trend. Farmers are also gradually developing the habit of online shopping. According to the "2014 Rural Internet Development Status Research Report" released by CNNCI, it can be learned that in just three years from 2012 to 2014, the number of online shoppers in rural China increased from 45.15 million to 77.14 million, with a growth rate of 41.2%. This group of rural netizens is undoubtedly the first witness and beneficiary of China's rural network information coverage. The consumption habits they have developed through online shopping have deeply provided a good basis for the development of agricultural e-commerce.

> Society

In December 2015, Toby.com released the 2015 China B2B Industry Employee Survey and Analysis Report. The report shows that the confidence index of B2B industry employees in 2015 was 99.2, a significant increase of 35.9% over last year. The increase in the B2B index has significantly stimulated the development of the B2B industry, and B2B has attracted more and more attention and favor from traditional enterprises and start-ups.

Figure 1.6: Changes in the confidence index of B2B practitioners from 2013 to 2015

Figure 1.7: Key characteristics of new farmers

Along with the process of agricultural internetization and modernization, a group of agricultural producers and guides with culture, innovation, organization and internet thinking have emerged in China, namely new farmers. The "Research Report on New Farmers in China (2014)" released by Alibaba Research Institute shows that new farmers have four major genes, namely internet thinking, innovation awareness, self-organization and cultural concepts, and also ecological concepts. The "Research Report on New Farmers in China (2014)" also believes that the scale of new farmers in China has exceeded one million. This huge new group and the growing trend may become the mainstream force to promote the development of rural modernization.

For the development of the agricultural B2B industry, talent has always been the most critical issue. The emergence of new farmers has undoubtedly alleviated the difficulties in this regard to a certain extent. However, we also see that compared with the huge agricultural B2B e-commerce market, the talent gap is still large, and the maximum threshold of the market is far from reaching its peak. There is still a lot of room for latecomers in the agricultural B2B e-commerce field to enter in terms of time and field.

>Technology

The Internet era is the third era of revolutionary significance after the Industrial Age and the Electrical Age. It is also mainly an iterative update of social production in terms of technology. The Internet, Internet of Things, big data, cloud computing and artificial intelligence have brought the world into an unprecedented high-efficiency time and space. Agriculture, as a basic industry related to the national economy and people's livelihood, is also bathed in such an era of change. In the preparation of agricultural materials, production, circulation and consumption of agricultural products, each node has the in-depth application of new Internet technologies, which has greatly stimulated the great strides of traditional agriculture towards modern agriculture.

While technology is actively penetrating into agriculture, we also have to admit that China's agricultural foundation is weak, and it is still very difficult to upgrade and transform it. Especially in the entire agricultural B2B e-commerce industry chain, we often encounter huge waste of products due to technical problems. The report will focus on analyzing the seven core problems encountered in the development of agricultural B2B, including logistics problems, standardization problems, warehousing problems, etc. Most of these are due to the immaturity of technology, which has caused low transactions and waste in the industry chain.

In short, Internet-based intelligent technologies and big data information aggregation have provided strong guarantees for the modernization, e-commerce and ecologization of traditional agriculture, but these technologies still have a long way to go before they can be transformed into real productivity and economic benefits.

>The backward agricultural situation urgently needs to embrace the Internet

The concept of agricultural modernization was raised to the national strategic level at the beginning of the founding of New China, but it is undeniable that after decades of development, China's agricultural development has always maintained a strong traditional atmosphere, and many backward elements still remain. The ecological environment is deteriorating, soil erosion is becoming more and more serious, and the red line of cultivated land area has reached the warning state; and the level of agricultural mechanization in my country is 1/90 of Japan, 1/11 of France, and 1/5 of the United States. This situation is not only incomparable with developed countries, but also lower than the world average; due to backward technology and logistics storage conditions, the post-harvest loss rates of grain, potatoes, fruits and vegetables are as high as 7-11%, 15-20%, 15-20% and 20-25% respectively. It is estimated that more than 100 million tons of fruits and vegetables are lost due to rot every year in my country; food is the first necessity of the people, and the food safety of agricultural products in my country has been repeatedly challenged, including storage and logistics pollution, random addition of additives and other factors, which need to be solved through more effective transformation.

Faced with the Internet trend of the times, Chinese agriculture, with this millennium-long problem, urgently needs to embrace the Internet in order to make changes. For example, in the rational disposal and utilization of land, the emergence of Tuliu.com has provided effective utilization for China's idle land cultivation. For example, the development, utilization and popularization of the Internet and the Internet of Things have made agriculture more intelligent in the production process, reducing the waste of agricultural materials caused by backward production methods. The more significant change is that after agricultural e-commerce enters the links of the agricultural industry chain, it reduces the links of agricultural product transactions and increases the profits of traders.

>The agricultural market has huge potential and needs to be tapped by Internet+

Regarding the value of the Internet agricultural market, industry insiders generally believe that it is about 10 trillion yuan, of which about 2 trillion yuan is in the B2B agricultural materials link, about 5 trillion yuan is in the B2B agricultural product trading link, and about 3 trillion yuan is in the B2B food distribution link, which does not include large-scale financial transactions in land transfer. Compared with my country's GDP in 2014, which broke through 60 trillion yuan for the first time, it can be said that the market size of the Internet agricultural field is equivalent to 1/6 of the GDP. Its market influence and development potential are so huge that it is unimaginable. This has brought huge business opportunities to Chinese investors and creators of agricultural e-commerce, and also injected a shot of adrenaline into China's increasingly tightening economic situation.

Part II: Analysis of the Current Situation of Internet + Agriculture (B2B)

This chapter of the report will start with the analysis of the industrial chain. First, it will clarify the industrial chain operation model of agricultural B2B e-commerce. Secondly, it will analyze domestic agricultural B2B e-commerce from two dimensions: ① studying the industrial layout of domestic representative emerging agricultural B2B e-commerce from the upstream, midstream and downstream of the industrial chain; ② studying the investment situation of agricultural B2B e-commerce from the investment data of domestic emerging agricultural B2B e-commerce. Finally, it will select representative agricultural B2B e-commerce cases for business model analysis.

>Agricultural B2B e-commerce industry chain

Figure 2.1: Agricultural B2B e-commerce industry chain

When understanding the operation model of the entire agricultural B2B e-commerce, we must first understand the entire agricultural B2B e-commerce industry chain. As shown in the above figure, the entire agricultural B2B e-commerce industry chain can be divided into three parts: the upstream of the industry chain, the core of the industry chain, and the downstream of the industry chain.

The core of the industrial chain is the output of agricultural products, including livestock, and the entire agricultural B2B e-commerce upstream and downstream are extended around the core of the industrial chain, excluding the upstream and downstream terminal C-type users and their businesses. The report mainly focuses on the B2B e-commerce operation model in the agricultural industrial chain. While the industrial chain is extending vertically, it is also expanding horizontally, including logistics, warehousing, supply chain finance, etc. that accompany the entire agricultural B2B e-commerce business. In addition, with the continuous prosperity of eco-tourism and the implementation and popularization of smart cities, rural eco-tourism has gradually become an indispensable business model in the industrial chain. These four business models exist throughout the entire agricultural B2B e-commerce industrial chain. In the end, the vertical and horizontal industrial chains are intertwined to form the agricultural B2B ecology. The ecology requires the organic combination of each link and the creation of "five smooth flows", namely the smooth circulation of agricultural goods, the smooth transaction of ownership of agricultural materials and agricultural products, the smooth transaction funds, the symmetry of agricultural information data information, and the completeness of agricultural e-commerce talents. Together, they create a virtuous cycle operation mechanism for agricultural B2B e-commerce.

>The initial development of agricultural B2B e-commerce

Internet + agriculture is still in its infancy, and agricultural B2B e-commerce is still in its infancy, but its explosive power and money-making ability make other industries dare not look up to it. At present, traditional agricultural enterprises have laid out B2B fields, including Kingenta, Nopco, Yuntianhua, and Dabeinong. At the same time, traditional Internet companies such as Alibaba, JD.com, LeTV, and Suning have also begun to get involved in the agricultural B2B field. Some new agricultural B2B entrepreneurial companies have sprung up like mushrooms after rain. In summary, most of the current agricultural B2B e-commerce platforms operate in a light mode, which is also the motivation for traditional enterprises to actively transform to the Internet. The current agricultural B2B e-commerce field is still a blue ocean. Although every detail of the vertical and horizontal industrial chains has been laid out by enterprises, the maturity of the model needs to be verified. Agricultural B2B e-commerce is still in the window period, and this window period will continue for some time.

Figure 2.2: E-commerce strategic layout of domestic non-agricultural e-commerce and traditional agricultural enterprises

>From the perspective of agricultural e-commerce industry chain and investment and financing, we can see the domestic start-up agricultural B2B e-commerce

According to the layout of agricultural B2B e-commerce in the industrial chain, the upstream mainly includes land and agricultural materials, the midstream is mainly agricultural product manufacturing or production, and the downstream mainly refers to the distribution of fresh food ingredients. This report divides agricultural B2B e-commerce platforms into different links of the industrial chain based on the business positioning of major domestic agricultural B2B e-commerce platforms, as shown in the following figure (Figure 2.3, Figure 2.4, Figure 2.5):

Figure 2.3: Upstream of the agricultural B2B e-commerce industry chain

Figure 2.4: Agricultural B2B e-commerce industry chain: agricultural products

Figure 2.5: Agricultural B2B e-commerce industry chain: food distribution

From the perspective of the industrial chain, agricultural B2B e-commerce is mostly concentrated in the product distribution sector. Since 2014, the downstream food distribution e-commerce companies in the agricultural B2B e-commerce industry chain have experienced explosive growth, with distribution mainly concentrated in the fresh food sector, among which seafood is relatively lacking, and the business model is mostly concentrated in the matchmaking stage. This light model exploration occupies the mainstream of emerging distribution e-commerce, and whether the heavy model can become the mainstream of fresh food distribution e-commerce in the future remains to be discussed.

In addition, starting from the investment data of emerging agricultural e-commerce in China, we can see the position of the investment institutions in the industrial chain layout of the entire agricultural industry B2B e-commerce, as shown in the following figure (Figure 2.6, Figure 2.7, Figure 2.8):

Figure 2.6: Financing of agricultural B2B e-commerce companies (Round A and above)

Figure 2.7: Agricultural B2B e-commerce companies in round A and above in the agricultural B2B e-commerce industry chain

According to the comparison between Figure 2.6 and Figure 2.7, it can be seen that enterprises in the downstream fresh food distribution of domestic Internet + agricultural B2B e-commerce platforms are more favored by capital, mainly because of the characteristics of low risk and quick profit, and many B2B enterprises in fresh food distribution obtain income during the initial operation, which is very rare for most e-commerce platforms to burn money in the early stage of operation. From the perspective of business model, these agricultural e-commerce enterprises do not produce agricultural products themselves but match transactions, and finally bring buyers and sellers together for the circulation of agricultural products. The difference lies in whether to build a self-built warehousing and logistics system, whether to build a self-built capital pool, etc. The core lies in whether to operate in a heavy mode or a light mode.

Figure 2.8: Agricultural B2B e-commerce enterprise financing (angel round)

>Case

Case 1: Tuliu.com: “58.com” + “Lianjia” model

Tuliu.com is an online B2B platform for publishing land transfer information. It was founded in March 2009 and mainly serves both the supply and demand sides of land transfer, and its users are mainly enterprise-level users. In December 2014, it received Series A financing from Shanda Capital. Its business model can be summarized as the online and offline collaborative model of "58.com + Lianjia".

58.com is presented to users through the collection and release of information. In a similar way, Tuliu.com also collects information about land transfer online, and the way it collects information is that land owners post the information about their land on the website. Offline, Wu Yong, the founder and CEO of Tuliu.com, led the team to establish a team of land brokers. After being trained by Tuliu.com, these brokers went to various hometowns to collect information about land transfer, thereby attracting the attention of the demand side. Of course, the founder also said that they would verify whether the users of the land really need the land or whether the suppliers of the land really own their own idle land, which is similar to Lianjia.com. It is through the verification of the source of land information and the authenticity of the service that Tuliu.com has become one of the few agricultural e-commerce B2B platforms for land transfer in China.

Case 2: Anyoutian: a trading platform for agricultural products

Anyoutian, which was officially launched in September 2015, is a B2B e-commerce platform focusing on the circulation and trading of agricultural products. Within three months of its launch, it integrated more than 1,000 suppliers, including more than 100 convenience stores in downtown Shanghai alone, with a transaction volume of over 10 million. In 2015, it achieved the goal of 50,000 users and 20,000 daily active users. At present, the platform has more than 1,200 agricultural product suppliers and nearly 600 SKUs. In May 2015, it received an angel round of investment of 5 million. Its business model is mainly to meet the needs of small and medium-sized supermarkets and key supermarkets for agricultural product docking services. In terms of KA docking services, its main approach is that it does not charge fees in the early stage, but only charges a certain percentage of fees as service fees when KA or convenience stores settle monthly payments with it; in terms of convenient procurement transactions, its main approach is to station personnel on site, merchants face to face, and adopt a reverse customization model, including reverse customization + bargain hunting price + hungry group purchase + sorting and distribution, etc. The models used for different customer groups are also different, but in the overall business process, it has formed its own fixed steps: aggregation, optimization, service and docking. It has formed the characteristics of low-priced packages, high-quality products, and direct supply from the source.

Case 3: Cloud Farm: “One Body, Two Wings, Multiple Feathers” Model

Yunnongchang is an online agricultural material trading and high-tech service B2B platform created by Tianchen Yunnongchang Co., Ltd., which was launched in early 2014. By the end of 2015, Yunnongchang had 20 million registered users and served an area of ​​about 300 million mu of land. The company's entire entrepreneurial team has more than 600 people, including professors, masters and doctors. In addition, in order to better improve the technological level and service quality of Yunnongchang, Yunnongchang has also hired dozens of domestic and foreign Internet, big data, software, law, soil and fertilizer, and agricultural technology experts as franchise consultants. Yunnongchang has clearly defined basic business, strategic business and drainage business, and formed a "one body, two wings, and multiple feathers" business model, among which "one body" refers to the integrated agricultural mall for planting, "two wings" refers to village service stations and county-level fertilizer distribution stations, and "multiple feathers" include "Xiangjianhuode", "Nongjitong", "Yunnongbao", "Fengshouhui" and other online service platforms. In the end, Yunnongchang formed a one-stop service ecosystem by relying on online information transmission and transaction facilitation, offline logistics and value-added service support.

Case 4: Meicai.com: Heavy model of agricultural products B2B

Meicai.com was founded in May 2014 and is a B2B e-commerce website focusing on agricultural products, vegetables and fruits. In September 2015, it received RMB 100 million or more in Series C financing. Prior to this, Meicai.com also received venture capital from well-known fund companies such as ZhenFund, Blue Lake Capital, and Shunwei Capital.

At present, the business model operated by Meicai.com is that it does not grow vegetables itself, but connects the trading links between farms and small and medium-sized dining tables. By compressing the supply chain of agricultural products, it has changed the traditional situation of agricultural product circulation, where the first-, second-, and third-tier distributors and even restaurants take commissions at each level, thereby increasing the transaction profit. In addition, Meicai has built its own procurement, warehousing, and distribution business model, which is a rare model among domestic agricultural product e-commerce companies. After this one-stop procurement platform is built and expanded, it eliminates the middle link and protects the fundamental interests of farmers.

Part 3: Analysis of Issues and Trends of Internet + Agriculture (B2B)

>Problems faced by Internet + Agriculture (B2B)

Internet + agricultural B2B e-commerce is an important operation model for Internet + breakthroughs and practices in the agricultural field. It mainly connects several Bs organically to finally open up the entire channel between farmers and consumers for products, information, and funds. However, many problems are often encountered while opening up the channel, mainly including seven aspects: low standardization of agricultural products, asymmetric information of upstream and downstream transactions, imperfect warehousing and supporting facilities between production and sales places, cold chain logistics and distribution during transportation have not yet met the needs of merchants, and most offline agricultural product exchanges are difficult to transition to online transactions. The existing domestic e-commerce platforms for agricultural products, especially the real agricultural B2B e-commerce 2.0/3.0, are still in their infancy, and there is a large gap in talents engaged in agricultural B2B e-commerce.

Specifically, most agricultural products are highly personalized and differentiated, resulting in a significantly low degree of standardization, which poses a serious challenge to the large-scale development of agricultural B2B e-commerce; the core of agricultural B2B e-commerce is supply chain management. There is information asymmetry between urban and rural areas, between producers and consumers, and between suppliers and distributors in transaction information, which can easily lead to supply and demand imbalances, irrational distribution of benefits and other problems that affect the healthy development of the industry; in the agricultural B2B e-commerce transaction process, the main participants are enterprise-level users, and the requirements for warehousing and logistics are also very high. However, in terms of current market performance, the supply of warehousing and logistics, especially constant temperature warehousing and cold chain logistics, is far from enough, and the transportation conditions of this kind of logistics have greatly increased the high costs of enterprises. The lack of application of cold chain technology alone has resulted in the waste of agricultural products, especially fruits and vegetables, due to storage, worth about 80 billion yuan each year; the agricultural industry has a large scale of B2B transactions, strong negotiation and bargaining power, and many are path-dependent on offline transactions. , whether it is possible to create more competitive and attractive selling points online and thereby divert offline transactions to online is something that every company needs to think about seriously; compared to the trillion-dollar agricultural B2B e-commerce, although Internet giants and some start-ups have begun to get involved in this field, it is undeniable that a mature business model has not yet been formed, and most are still in a state of "crossing the river by feeling the stones". The user positioning, business model and promotion methods of the agricultural B2B e-commerce platform still need further planning and practice; as mentioned above, the focus of e-commerce development is on people. Whether there is a good team to formulate strategies and implement them is the key to the success or failure of an enterprise. Although the emergence of new farmers has injected fresh blood into agricultural B2B e-commerce or the entire large-scale agriculture, the national e-commerce talent gap is about 1.5 million, among which rural e-commerce talents are the weakest. Attracting more top talents and rapidly cultivating and improving the quality and ability of current practitioners are all issues that agricultural B2B e-commerce currently needs to solve.

> Internet + Agriculture (B2B) Development Trend

Under the influence of the Internet, agricultural B2B e-commerce has made the circulation of agricultural products more convenient, and the sales profits of agricultural products are closer to producers. In the future, agricultural B2B e-commerce will realize an online transaction closed loop in the continuous optimization of the industrial chain, truly solving the pain points of producers, transporters and users.

The closed loop of agricultural B2B e-commerce transactions has also spawned the ecologicalization of the entire industrial chain of agricultural B2B e-commerce. According to the layout of domestic agricultural B2B e-commerce in the industrial chain at the current stage in Chapter 2 of the "Report", although domestic agricultural B2B e-commerce is still in its early stages, overall, e-commerce platforms have emerged in the upstream, midstream and downstream of the industrial chain. In the future, mature agricultural e-commerce will be reflected in the two aspects of ecosystem integration and smart agriculture. In the B2B field of agricultural e-commerce, there will also be a trend of ecologicalization of the entire industrial chain. From the initial upstream sections of land and agricultural materials, through the core midstream of agricultural product production and processing, to the downstream circulation section, the vertical development will be integrated with each other, and relying on the complete maturity of the closed loop of B2B industrial chain transactions, the agricultural industry B2B e-commerce will eventually merge into an ecological integration of product layer, usage layer, and technical support layer.